the world of certifications what they do what they don’t do 6/6/2012copyright crea 20121
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The World of Certifications
What they doWhat they don’t do
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Looking at 4 Certifications:
Fair TradeRainforest Alliance
UTZStarbucks
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CREA’s Assessment Process
Our Assessment Tools: A series of Systemic Analysis (SA) Constructs to compare the different certifications in terms of standards and impact
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Systemic Analysis Systemic Analysis is a program created by CREA starting in 1997 that teaches a person how to do analysis using a set of Constructs or Tools which provide for the development of common language and the ability to analyze programs, policies and practices on an on-going basis.
Example 1: Legal, Ethical, Moral, JustExample 2: Acceptable, Access-able, Afford-ableExample 3: Charity, Advocacy, Systemic Change6/6/2012
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SA Tool 1: Choosing your Starting Point
Any analysis starts from a given perspective. Possible perspectives include:
- ourselves - our organization and its philosophy- the community on the ground- the consumer- the farmers/workers doing the work
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Starting Point for This Analysis
Our analysis of the certifications will start from
the experience of the farmers in agriculture
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SA Tool 2: Cui Bono –Who Benefits?
Possible benefits:- Added income- Increased access to market- Better working conditions- Environmentally sustainable practices
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Price Benefits
Certification Benefit
Fair Trade Guaranteed minimum base price10 cents (US) above market price for coffee
Rainforest Alliance No guaranteed base price
UTZ No guaranteed base price
Starbucks 6% of coffee sold is fair trade certified with base priceNo guaranteed base price for rest of coffee
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Long Term Relationship with BuyerCertification Benefit
Fair Trade Long term relationship with specific individual cooperatives
Rainforest Alliance Long term relationship with specific farms and cooperatives
UTZ No long term relationship
Starbucks Long term relationship with specific farms
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SA Tool 3: Power and VoiceCertification Power Voice
Fair Trade Both buyer and cooperative have power since the buyer, such as Equal Exchange, needs the product and the cooperative needs to sell their product
Mutual relationship leads to communication
Rainforest Alliance RA has power to require certain standards; farmers have little to no power
UTZ UTZ has all the power as buyer and certifier
Starbucks Starbucks has power to determine what % of each type of certified coffee is sold
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Education and Training by CertifierCertification Benefit
Fair Trade Certifier provides on-going training to provide better product
Rainforest Alliance Certifier provides on-going training to provide better product
UTZ No long term training or relationship
Starbucks Certifier provides on-going training to provide better product
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Environmental Issues
- Shade grown?- Plantation?- Organic?
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Understanding “Shade Grown”
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Shade grown in Guatemala mountains Fair Trade certified - Rustic
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Shade grown in Chanmagua, Guatemala – RA certifiedCommercial monoculture
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Labor StandardsCertification Benefit
Fair Trade Strong labor standards
Rainforest Alliance Required labor standards but varying enforcement
UTZ Weak labor standards requirement
Starbucks Required labor standards with enforcement for the FT certified coffee
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Access to MarketCertification Benefit
Fair Trade Fair Trade system provides increased access to market as well as active marketing
Rainforest Alliance Certifier provides some increased access to market but not much
UTZ No ensured access to market provided.
Starbucks Starbucks provides market for product through its own sales as well as sale of its products in supermarkets, etc.
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Certification through AuditingCertification Certifications Fees
Fair Trade Grower must be certifiedSeller must also be certified
Grower pays certification feeSeller pays certification fee
Rainforest Alliance Grower must be certified Grower pays certification fee
UTZ Grower pays certification fee
Starbucks Grower must be certified Grower pays certification fee
Because of the fees for the different certifications,farmers around the world are calling for one certification that covers ALL the standards and their related requirements.
Providing certifications is BIG business for the certifiers.
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Some remaining questions:
• Who is Fair Trade is in the US?
• How can a certified farm or cooperative end up with child labor?
The following DVD from FEDECOCAGUA, Federation of Small Farmers and Cooperatives in Guatemala explains some of these things.
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